Question

Topic: Strategy

Chicken Or Egg?

Posted by Anonymous on 12/23/2008 at 7:24 PM ET 250 Points
We are a personal training franchise in the UK. We currently have 4 partners inboard which is great - whom joined us on the merit of guaranteed client enquiries. The only trouble is now we are putting together a marketing strategy to recruit more franchise partners up and down the country.
My question is where do we put our time and money? Without partners we cannot have clients and without clients we will get no partners. Our budget is limited at the moment so it's a case of selecting the right strategy.
Hence why I call this the chicken or egg scenerio - which one should come first?
To continue reading this question and the solution, sign up ... it's free!
SUBSCRIBE
Or, SIGN IN

RESPONSES

  • Posted by mgoodman on 12/23/2008 at 7:44 PM Moderator
    What comes first is the funding. If you're trying to start your business without sufficient capital to carry out the plans you've laid, you're going to fail. Stop now and save yourself from the fate that plagues 9 out of 10 new businesses.

    It doesn't matter how good your business concept is, if you try to grow faster than your resources will allow, you're not going to achieve your objectives. Slow down, plan carefully, and make sure you have the management team, business and marketing plans, time, energy and money to implement the plan.

    Sorry I can't pick chicken or egg. It's not either one.

    There's a MarketingProfs Seminar and How-To Guide titled Why Most Small Businesses Fail (and How to Avoid Being One of Them). Well worth the time/money you'd invest in going through them.
  • Posted by Mikee on 12/24/2008 at 10:32 AM Accepted
    I think you need to foucus on gettong clients for the operation you have. People will not consider a franchise unless they have proven to be successful. Also clients birng you revenue which helps you accomplish your other goals.

    Mike
  • Posted by telemoxie on 12/26/2008 at 2:15 PM Member
    I'm sorry, maybe I'm not familiar with some of the terms you use or the way you guys use them across the pond.

    You said you were a franchise. Here in the states, a franchisee would typically use information on items such as developing leads and marketing plans from a franchiseor. have you gotten specific suggestions from them while now to build your business?

    If I am understanding you properly, you have recruited partners, who may also be investors I suppose, by promising them leads. But then you seem to go on to say that in order to get more leads you need more partners. I'm sorry, I guess I don't understand.

    A point above is well made and that the vast majority of new businesses fail. However, generally speaking, at least in the United States, the success rate for franchises is much higher. This is because they have done their homework and read about a business model for you. If this is a legitimate franchise operation, they should answer these questions for you.

    As you can see, I don't feel I know enough to give specific and accurate advice. But if I'm reading between the lines properly, it sounds to me is that you made commitments to these partners which are not fulfilled, and it does not seem to me to be wise to take on new partners value of outstanding obligations to current partners

    In all the talk of franchises and partners, let's not forget the clients. If you all do a great job for your clients, good word-of-mouth advertising will help grow your business.

    Good luck.
BACK TO TOP

Post a Comment

Related Discussions

Community Info

Top 25 Experts
(Strategy)